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tv   Public Utilities Commission 111015  SFGTV  November 10, 2015 6:00pm-9:01pm PST

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distinguish between the on-site and off-site, but the analysis was done thoroughly and we based it on the conservative-level. so i would feel comfortable without taking that second recommendation from the budget and legislative analyst report. as the controller mentioned there will be some fine tuning of the numbers going forward. and so, i know that we'll be engaging in a transparent process when that opportunity arises. and so again at this point, i'm okay with taking the recommendation, the first one, even though it is redundant in terms of the other documents. but i don't see harm in including it in item no. 2, but not recommendation no. 2. >> okay. so is that a motion? >> okay. so i will make had a motion then to adopt budget analyst recommendation no. 1, which is that the ordinance should specify that the annual cap of the 90% of the general
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fund if it's insufficient to cover sfmta's expenditures for transportation services to the warrior's project, then the warriors will be responsibility to comply with eir mitigations t-r2b and t-18. >> motion by supervisor tang without objection. colleagues we have the underlying item no. 2 as amended by both amendments. motion to accept the item with full recommendation to the december 8th board of supervisors meet. >> ing so moved. >> motion by both supervisor tang and supervisor mar, we'll take it without objection. as to item 3 we have some technical amendments, discussed. can i have a motion to accept the technical amendments. >> so moved. >> motion by supervisor mar this time.we'll take that out objection and to move item 3 to the full board to the december 8th board meeting. motion to that effect? >> so moved
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>> motion by supervisor tang, take that without objection. [ gavel ] . colleagues all right all all item no. 4, take those without objection and underlying to separate send it forward with full recommendation to the board for the december 8th meeting. >> so moved. >> motion by supervisor tang. >> mr. malamut. >> city attorney's office, i prepared language to address the budget analyst's recommendation. i could read that into the record. >> item no. 1? >> i'm sorry, all item no. 2. >> recommendation no. 1 in regard to agenda item no. 2, i could read into the record a
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proposal, but it would require rescinding that vote on item 2 and rehearing it if you think the item is acceptable. >> sure, i just want to make sure it's something had that we're voting on today. >> yes. >> happy to do so, colleagues motion to rescind the moment so moved. >> thank you. >> this is again your agenda item no. 2. at the end of the existing language this is entitled "environmental findings." we would add the language, "in that action, and this referring to the ceqa findings -- the first item on your agenda. that action the board recognized that the commission on community investment and
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infrastructure ocii on november 3, 2015 approved resolution 70-2015 which adopted california environment quality act findings. and including a statement of overriding considerations, and mp research and planning program as required by law. as part of the ocii approval of the resolution and other proval actions related to the golden state warriors event center and mixed-use district c pretty sured as conditions of approval, those aspects of mitigation measures and concerning transportation impacts in the mp research and p mitigation monitoring and
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reporting plan and this essentially recognizes the two mitigation measures and indicates that they have been imposed as conditions on the project by the commission on community investment and infrastructure. >> thank you, >> i just wanted to clarify the reason we put this recommendation in and i'm willing to ask what the city attorney says is that none of the documents we saw did it explicitly say that if there wasn't sufficient money for the mta to implement all of the transit measures that are being considered by this legislation, it never explicitly that the warriors are responsible for the list of measures.
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we understand it was in ceqa and we understand it was in the mitigation measures and in the ocii, but it was never stated explicitly that if the revenues fall short that that is what the warriors are going to be doing. so i will defer to the city attorney on this one, but i think it's a really key point on why we made the recommendation. >> thank you. i think you will find agreement on this entire panel and the full board. assuming that your language satisfis that concern, i think that is something i would certainly support. so at this point, colleagues unless questions, entertain a motion to accept that language into item no. 2. >> so moved. >> motion by supervisor mar, take without objection [ gavel ] colleagues we have to revote on item 2 as amended to forward in item to the full board for recommendation to thedecember 8th board of supervisors meeting. >> so moved.
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>> motion by supervisor tang without objection. madame clerk, do we have any other action. >> item 4 was also amended -- it was also recommended to the full board to thedecember 8th 8th meeting. >> there is no other action. >> thank you everybody we're adjourned..
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>> good afternoon islander to call the san francisco public utilities commission to order roll call. >> commissioner vice president moran commissioner courtney commissioner caen is expected shortly. >> thank you very much. >> so we have a very full agenda i know that there is probably a
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lot of public comment and a contracting presentation i'd like to limit public comment to 2 minutes thank you very much next item, please. >> approval of the minutes for october 27, 2015. >> a motion to approve the minutes. >> second. >> questions or comments on the minutes >> all in favor, say i. >> i. >> opposed? that motion carries that motion carries next item. >> general public comment items of interest to the public that are within the subject matter jurisdiction of the commission except agenda items. with respect to agenda items,. >> any public comment general public comment at this time i have one from blaine p come up
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please. hi i want to make sure i'm speaking at the right time for the sewer failures cross the city but the neighborhood full name on the agenda i want to make sure i'm speaking. >> it's not on the agenda this is a fine time. >> thank you very much. >> my name is a blaine i live in mission terrace my husband and i put our life savings into buying a home in san francisco 3 medias later flooded with raw sewage the same situation across our neighborhoods and across the city. >> this disagrees situation my residents find a repeated
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patterns of misleading patterns if sfpuc and to the commission i'd like to point out an example in the document interest from mccain republican how to the public utilities commission it admits that how point number 2 states how that there is not much risk for over flow health implementations a great risk to that ocean documents that they have health hazards one of the ways in which this is a misleading situation by sfpuc officials a dangerous situation toxic sewage the commission not to stop lloyd they say in the report we're asking for them to stop discharging raw sewage into our homes and businesses a major
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problem needs to be addressed immediately thank you for your time. >> thank you. >> good afternoon good afternoon, commissioners my name is david i serve as the president thought terrace on the screen if i could go to the one particular photo i would like you to see the one on the top here this is the sewage clear up and they are wearing hazmat suits osha requires they be prepared to deal with raw sewage so when you received an answer on the 29, i believe this was misleading at best also on the 29 you received a lot of
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information about permanent fulsome street options to solve the problem when we went to the meeting think 17 and fulsome we were told the public was told the options are 200 plus $80 million this is not the one on the elevation but barriers in front of the homes to protect the businesses and homes on is 17th street and fulsome street last wednesday at indoes the community room we received with only option that they will look at the question of removing a barrier that allows raw sewage to flow down into the tunnel that goes from underneath the mission street very duck to chevy's i'm suggesting that we're playing something a
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bait-and-switch we're stating we have this money on one project in one neighborhood not another it should be revisited singing a bore on the west side of 230z to carry the sewage out to the zoo where that sewage treatment plant has the capacity it will be cost effective in the long run thank you. >> thank you. >> donna marie. >> good afternoon and told me my family owns two properties we had those properties for more than thirty years this is the second major sewer failure flooding my a grandmother has alzheimer's and the flood
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researched 6 feet of level of sewage water level is atrocious most of homes in the neighborhoods are similar to a war zone meaning most of properties have been gutted and in senior homes without a fortunes or water heaters and severe plumbing issues it is nearly a year for any real assistance to this neighborhood and this is is not the first time or second and the fact it is those sewer failures are occurring within weeks of each other is something to be noted and our neighborhood has formed solutions not sandbags to organize and get the city's attention on this matter thank you for thank you for your time and consideration. >> thank you very much.
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>> any additional public comment on this item? next item, please >> item 5 communications. >> communications everybody has communications in their packets questions or comments on item number 5 communications? >> any public comment on communications? hearing known next item, please >> item 6 other commission business. >> other commission business hearing public comment on other commission business next item, please. >> report of general manager. >> report of general manager is next. >> sorry about that so the first item i wanted to
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give an update on the drought steve richie. >> good afternoon, commissioners steve richie vaunt general manager so for water if i could have the slides please i'll be undergo similar information to report as before storage we again hanging 73 percent capacity at hetch hetchy 85 billions of water looking good the water bang-up to one and 85 thousand it dropped from last week but with the recent storms adding to that and we finished the construction project that is bringing in water as well. >> that slide is awe you cumulative it is early in the season the red line is above the
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black line this is the first time in 3 years precipitation above medium we're not going to the badge but that didn't include the water in the last 36 hours we've started oh, well on the slope there appears in the high country 2 inches of snow from the recent storm that is looking good for precipitation. >> here are the actual numbers again that is as of november 8th add an inch to hetch hetchy and through the month of november quite a bit of that left at the average for the entire month a good month not as good down here but those are the real precipitations as opposed to to
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last year, i don't need to how those are precipitation forecasts from the national forecast the week we're in and the lower box is in front of 17 red is wet and blue and green are definitely wet to shows for the rest of theeks and next week precipitation in the forecast good-looking. >> but that doesn't mean we have to stop serving and the demand is down from the last week people are continued to serve just like they shed and we're down to one and 72 millions gallons a day delivered last week go a good performance by the customers and the amount of savings is looking quite
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rabble and last but not least october 29th western up in the waterfront they were looking good up there just wondering down the trail what the bears like to do i'll be happy to answer any questions. >> are they on our staff. >> actually, one of them has reportedly been swimming in the reservoir we'll have words with him. >> what about the other bears. >> (laughter). any questions >> thank you next item, please. >> i want to give an update not on the list about the misleading people that are here to represent the neighborhood that are flooding we wanted to let them know it's not agendize but people can come and real talk about you know what our issues are and challenges and
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then they can come but meanwhile we'll work with the communities and identified each folks we've plan to workout a plan of attack to minimize the impacts you know storm will have a seer storms the storms their referring to have large 2004 was the large and the two in december was the 25 and thirty year storms those are severe storms and we want to make sure that you know el nino is aligned 3 years 17th street and fulsome and we want the 4 areas we have troops that will pay attention with it so wanted to let the folks know you know it's not agendizeed we'll get to in the future
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with that, the next item is the audits and performance review nancy. >> historic and forward calendar of highlights of breath and depth of the organization ask under the sfpuc takes serious consideration by visiting auditors and agencies
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excuse me. >> as highlighted in the executive summary finished the first quarter of 2013-2014 with the stages of completion the figures in portal one projects were completed and 14 in process and 19 in the coming months the audit performance are perform and financial related come pricing of 90 percent of the audit portfolio the completion of financial statements audit and substantially followed with itself portal controls. >> i'm sorry, i said 17. >> we have 17 scheduled to begin in the upcoming months 14 in completion before you the 9 audits that were completed by
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this they were the post audit of transactions and citywide cash disbursement and a disbursement of the it sustainable and assessment of the human services agency program from the inadvertent count followed by one performed by the california state auditor as the grant program the last audit secured a one-million dollar grant for the southern boulevard trail project in addition to the 14th century 14 audits in process 17 will begin not all listed those are the significant ones planned on the major or financial related highlighting in the recent financial report and followed by performance audits with the sf contract active and the fleet management performance and to
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continuance to each of the southeast community investment framework and the sfpuc health and safety program at the continued through the years we'll keep you awe employed any questions i'll be happy to answer any questions now. >> commissioners. >> questions. >> thank you very much and that's a good body of work we really appreciate that next item general manager. >> the budget status report. >> may i have the slides
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please. commissioner president vietor and commissioners i'm here to talk about the q one budget report. >> in a nut shell you'll remember i talked about the out look for the 3 years with we came up with budget and draft continues and draft worsens and i think the in a nut shell of this we're tracking the drought for wastewater and continued revenue decreases verse what we budget the good news for power enterprise we are tracking more towards not a reduction in power a generation we thought we'd see as mr. richie noted in his presentation we've been generating quite a bit of power and el nino we're not expecting
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a reduction in power reduction in previously thought might happen secondly, the mitigation measures we've developed for fiscal year relationship are mitigate that impact and meet the policy goals for covering the reserves we have a busy schedule the water revenues are down by two-thirds by whole receives and a number of one time savings from depth o debt refunding and one time close outs. >> the watermelon enterprise was similar the reduction in revenues and reduction in uses. >> as i mentioned things for the power enterprise look good and
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on time with the budget a number of restriction radio i reduction uses for the power enterprise and finally we're meeting all the minimal metrics health commission's. >> no problems or concerns. >> i think we're staying on top of the budget process and get through the winter we're going to see what the hydrologic situation looked like the questions will what the sate is going to do in response to the winter and sxhefrment for the demand for wastewater that's one of the final questions. >> great, thank you. >> i have a question under the debt service i see we're hitting our requirement but i'm curious to know why do
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we have a separate current basis. >> this thaw is a new addition we have a indenture requirement that is our obligation agencies and credits analysts look at a calculation that is different from the denver it is your that is a little bit more restrictive so i'll element eliminate that line from the next report. >> i caught it. >> yep (laughter). >> thank you. >> thank you very much. >> all right. next item is the water enterprise capital improvement plan quarterly report kathy howe. >> good afternoon commissioner president vietor and commissioners, i just want to bring up two projects that are behind schedule
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there are they're both one is in town of sinal the depreciation the order and scale watertank and the other project is san francisco ground water supply 3 wells in golden gate park and we had thought that two wells could be taken out of service at the same time in order to meet the rec and park needs for irrigation in golden gate park we will need to take those off one contaminate that's the explanation for those projects and why a delay in construction for each of them i'll i'll be happy to answer any questions you may have. >> questions. >> i have - in regards to the
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red dots have you covered all these. >> those are the two with red dots with the scheduled delays both in construction. >> any other questions or comments. >> thank you, ms. howe appreciate it. >> the next item is the quarterly update. >> good afternoon, commissioners dan waving water system today's update is july 1st through september 30th i will keep my comments brief if
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you could go to the slides please in terms of overall term status 90 percent complete with the ripening and 90 with the local program which equates to over 90 percent threshold of the overall program that remains an schedule with the approved completion date of 2019, however, several individual projects that have scheduled on the administrative close not the level of service those projects are in service but negotiations for change order questions and claims and recent supplements our change thirty day notice last friday you were copied and be presenting those changes at the decision. if meeting i need to
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inform you, we also are currently within the overall program budget but have to trend namely on the cal's verse dam and uncertainty with the claim negotiation on a couple of the hetch hetchy and other treatment plants and the tunnel project we anticipate significant erosion of the currently it is covering those trends so we do have enough budgeted to cover all the known trends to date but looking at the recent trends i'll touch on a couple i'll be in a better position and a at the december quarterly report whether that he need additional budget to cover the risks over the next several years remembers in this case 9 -
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i'll not read those significant projects in recent most those are listed here we continue to make progress on system shut down and the safety record continues to be very good in terms of of preconstruction the alameda project it will be the loose project to finish design as well as environmental review and 60 percent design is done this month and the alameda creek fish passage a fish ladder on alameda creek and fish screens a sub project with the calaveres dam and finished the design and advertised the design after thanksgiving that is one of the significant trends in the program had to increase the
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engineers project because of the necessary additional scope revisions to the project from the planning through the design phase as well as some permanent conditions necessary tat the need for a 3 year construction on the pier construction so additional construction costs as a result. >> so moving on to construction i want to focus on two the calaveres dam replacements you're aware that is where the risks remain in the program this photo was in september and the process is going well, we're on schedule more 70 percent completed the recent accomplishment the foundation of the excavation except when the new condo is put in place and the conduit old one
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is replaced the the roller of the excavation of interest and the replacements of those backfill concrete and made significant process on this and initialed the closer for the hard rock for the shell of the new dam i'll show you in the following slides a little bit more detail the new to away we're complete that next spring and more than 40 thousand acres of concrete to date this is a significant structure a milestone we look forward to on the left yours looking down stream and on the right is more of that feature. >> but this is where i want to focus to your attention this is the hard walk for rock for the
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new dam will be mined and after initiating the mining they needed to be investigating 16 more were claimed in this area and 14 were completes and the results interest is good news and challenging news the good news is the geographic feature that is investigated is not pervasive through this area therefore it didn't present the slopes instability issue in the bar area they excavate the rock for the new dam the challenging news is that there is pervasive joining within the rock and some of the violent are local joints some of them are out the slope features that require anymore
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excavation additional rock and creek to support that slope as they continue to excavate and more costs and schedule challenge to we're looking at option to mitigate this as critical activities as well as looking other options i mean, i'll be presented to present with we meet in december, of course, this is in addition to the champs we'veless know about in terms of managing the asbestos so while much of the risk is behind us because of the excavated the foundation we have the risk going forward in construction and again, this is bar area it intimately tied to that. >> with that, i'd like to end aon a positive note the ground
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storage is going well and construction initiate in april we're up to 20 percent completion this is one of the last major construction projects in the program we will finish it about the same time as calaveres dam work has been initialed on 10 of the well sites we're working to address right-of-way issues and identify two additional wells in the san bruno area that will be identified to replace wells that were placed in the golden gate national cemetery to as a matter of law up to 16 new wells for the dry well, it an important project and good to see this moving forward ♪ photo shows an event in october to for the media of the significant process and
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importance of that project you may recognize some of the faces on the right a nice way to let people know the importance of the work i'll be happy to answer any questions >> thank you for your presentation i have a request about the costs and scheduled delay. >> so hopefully no schedule delay our goal to mitigate by accelerating certain activities the cost of associated so the time for december i'll come before you with a forecast thank you. >> any other questions or comments. >> comment both the presentation and kathy i think in the press of time i appreciate our focusing on what might be the bad news we like to hear about things that are going well and need to hear about the challenges that is not always
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pollutant to do i appreciate your focus with that said, we did look at this second every single i irving tunnel it something that is part why we got into this program for the resistantcy and the completion that is significant i didn't want to let that slide. >> thanks for your comment. >> thank you very much. >> and that concludes my report. >> great so, now we'll take general public comment public comment on the general manager report. >> afternoon. >> good afternoon congratulations oncoming into presidency you were not here allotment but i'm the ceo i want to speak on the report and first, i definitely have to commend dan and his team for the
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accomplishment on the program as commissioner vice president moran stated quite a few of the tremendous we're 90 percent complete with such a challenge to get startled at that point you heard budget concerns those are not new dan and i have been talking about them some will likely show up in the cover letter with the four projects meeting the contingencies with the overall project budget likely paul wormer to increase the program budget the question how to plan to fund that as you recall the last change in march of 2014 the decision was to defer expenses in our 10 year cip i expressed concerns about failing into a past practice 10 years ago of capital to continue
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to keep rates at what of the expected and again, i would caution to you think about that closely when that information is presented it sounds like with the december quarterly report you'll not get that that until the budget discussion it is something to be concerned about and i believe that anytime a publication don't two things in a row it tends to be havoc so be concerned about that. >> thank you. i appreciate the words of wisdom so next item public comment my further public comment on this next item, please. >> item 8 the consent calendar are considered to be routine may be acted upon by a single roll call vote of the commission. there will be no separate discussion of these items unless
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a member of the commission, the public, or staff so requests removed from the consent calendar and considered as a separate item at this or a future hearing. i want to note that item 8 d reformed from the calendar for consideration as the contract was implemented and no outstanding contract orders to item 8 a the approval the conditions and authorize a 12 month extension for the county district and b the e colons, llc award for an in the amount of not to exceed 4 hundred plus phone number for 10 years and d authors the consent for the existing contract from system 3 incorporated to, llc and item d
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is removed e approve the york 55 and the content for the existing contracts from incorporated to r e f, llc f approve the modifications to the contract extending the contract by 90 consecutive 90 days and the contract approval the modification for the increasing the contract by (1) 004-4000 plus with the one hundred plus consecutive days and the contract for the estimation of the duration by one hundred 80 consequence active calendar days and the cost contingency in the amount of $500 million blue the contingency for one hundred and
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66 calendar days j accept the contract approve the modification increasing the amount by 2200 and 22 thousands plus. >> okay. thank you very much so commissioners you have the consent calendar before you a motion to approve the consent calendar or a commissioner like to remove any items. >> so moved. >> second. >> any public comment on the consent calendar. >> hearing favor, say i. >> i. >> opposed? thank you very much the puc next item, please. >> item 9 adopt the finding for the pursuant to the california environmental quality act and the easements encoming from the lot and authors the
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general manager for the easement and easement exclaim deeds transferring the city and county of san francisco interest in those easements to g w s arena, llc subject to the board of supervisors approval for the vacation of those utility agents in the conditions in. ordinance >> michael deputy general manager a change to the resolution i wanted to note an additional resolve accuse on the late page copies are available for the public 1942 about, about the ceqa findings that we need to make as part of this action team the the item before you is brown is to authorize the general manager to terminate certain easements and quit claims to the golden gate arena and subject to the board of supervisors approval and just and such so let's talk about what the
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easements are i'll pull this on the screen what i have for the folks on the screen this is depicting where the easements are located those easements have been obtained by the city over a number of decades and some are what we call paper streets and some have in the come to fruition one street is el dorado street what abandoned in 1970 an estimation of illinois street that runs underneath that has eeblths or easements associated with the telling man's corporation we remained the easements to run our stormwater systems in area next slide, please. >> what we have is
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consolidation of that block we've taken the easements and vacating them and quiet claiming them gone into the sites that is where we have the infrastructure the sewers and water that is my understanding and making connections along the boulevards to make the loop as you can see we basically have no needs for those easements at this at this time the question before you to authorized the general manager to go ahead and transfer those easements from the quiet claim them to the golden state warriors arena, llc. >> i want to be clear about the the item before you it is about the easement and quit claim on the easements and nothing you live else. >> that's right. >> before we take public comment we'll take a motion.
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>> so moved. >> and second. >> comment cards before we take a vote pta valentino police are are you here not here donald sorry if i got that wrong. >> good afternoon thank you for having me. today, i urge the commission to adopt the findings of the ceqa and approve the termination for the utility easements in the block of 872 and authorize the general manager to authorize the termination of the quit claim deeds to transfer the city's interest to the arena, llc i completely support this project namely it adds jobs to the neighborhood an entry a lot lot that is a field and adds open space and public space along the
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water and adds $14 million worth of tax revenue to the city and $18 million of infrastructure fees to the city as well san francisco is the original city without a public space i look forward to the concert this that madonna and taylor swift will host this is one hundred and 60 feet 10 stories tall and now casting shadows in the public parks and acts as a hub with the voters that approved prop d just a few blocks away with affordable housing this will provide job locations for those folks in this project just a few block away thank you and please pass this. >> thank you very much. next
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is tony please. introduce yourself. >> yeah. >> how are you. >> hey good afternoon expirations thank you for having us to speak on blood of gunfires we've made great milestones having the ceqa and the all the others good stuff approved by ocii and our respectfully governing bodies this is a world-class plan in the context of how it is world-class they step forward and they came out to the community and you know to ask what are some of the issues to get addressed before we planning and visualizing for the complex i appreciate how they've collaborated with the businesses and communities and the sf i say
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biotech research that bayview signed on and the community signed on i'm a community i live down the electricities is a beautiful. >> plan we've had issues with the t line in the community and especially on days the giant played they've looked at this in alignment what the central subway plan and the timing is everything so i'm encouraging you guys, you know, the good citizen as a supportive of that collaborative amazing project to accept this project before you and turn that property over and continue to moving forward with this amazing site so thank you guys and have a good afternoon. >> thank you very much edward conrad. >> hello ladies and gentlemen,
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listen i'm a fan of san francisco i don't know if some people remember but sf court used to be - i'm a fan of san francisco i'm sure some of you remember the sf port was the busiest port this side of the mississippi in the 60s container shipping came about and the shipping went to oakland and alameda they spent $700 million to achieve their system we lost that and also the southeast portion of the san francisco used to be the largest impaired area of this side of the mississippi that is gone and now this great opportunity to use this land not used for anything that adds tax dollars to the city and provided thousands of jobs and a make that a
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world-class i'm encouraging the city and appreciate you looking at this situation but i think this is a win-win situation for san francisco and it is the environment thank you very much. >> thank you joel sorry if i couldn't get our last name right. >> good afternoon, commissioners i'm joel cop he will here today speaking on behalf of the san francisco building and trades council we've been here following the project through it's neighborhood planning stages we were there in support of project at the uc board of regular detergents and at the ocii and planning commission hearings which received unanimous approvals and yesterday's budget
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& finance committee for the board of supervisors moving forward we're here today in favor the project and hope you can move forward with the transferring the easements thank you. >> thank you pat valentino. >> good afternoon. i'm pat valentino the president of the south beach mission bay merchant association a neighbor close to the site our association is very much in support of this project the warriors have an i didn't believe e incredible outreach to the association and everyone you're dealing with a technical issue are the easements transfers we hope you approve that this will be a great thing for the neighborhood and our process is one more piece of the puzzle. >> any other public comment i have a question is there a potential for this to be a retail customer of the puc
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warriors project. >> yes. >> and what will the process be for that. >> the process will be they're a private entity we're negotiate all the parcels and bring up the issue whether or not to invest in the city or power to the site is up for discussion and negotiation. >> when might we know. >> i don't have is a time schedule but can get you one. >> thank you very much. >> commissioner, i have a question the answer is not yes. >> i'm curious i see we're moving various things. >> we're not moving anything there is nothing there. >> what are all the proposed.
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>> it is actually a class we'll bear we'll negotiate with the warriors with the certain costs to this. >> the city attorney as part of mission bay the developer will build the infrastructure dedicated to the city and go through the same similar process for all the mission bay infrastructure. >> we accept it over time as acceptable to us. >> further questions or comments? >> so just as a reminder a motion on the table the amended version before favor, say i. >> i. >> opposed? >> that motion carries. >> thank you next item, please. >> item 10 adopt the finding pursuant to the california environmental
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quality act approve the plans and specifications and award the contract in the amount of $2 million plus to the lottery qualified and responsive builders and builders incorporated. >> good afternoon commission i would like to point out this only has two bids it was rebid and guarantee done quite a few training for the contractors it is a different kind of construction the training was approximately 37 contractors and the rebid we again had thirty firms come to the training and still only end up with two bidders we'll to move forward with this project but for further green we will have to look at how we package the
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project too much alternative items. >> okay. >> i'm move for approval. >> the there's a motion on the floor second and public comment on this item? >> all in favor, say i. >> i. >> opposed? great love seeing all the projects on the agenda. >> me, too (laughter). >> item 11. >> authorize the general manager to recommend to the board of supervisors proposed amendments to the 2015 san francisco entertainment commission management ordinance and the stormwater design guidelines. >> good afternoon good afternoon commissioner vice president moran and commissioners this is not unusual updating the storming
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storm water but we'll have the presentation if you want. >> i'm okay without the presentation commissioners? >> i'll move the item. >> second. >> questions or comments? >> general public comment? >> all in favor, say i. >> i. >> opposed? thank you very much next item. >> item 12 ward agreement to the san francisco unified school district for the amount not to exceed 4 hundred and 44 thousand with the duration up to 40 most. >> i'll for the external affairs this is a straightforward request from asking the commission for a 2 and a half year armed in the amount of 4 hundred and 77
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thousands for the school yard. >> is there a motion? >> so moved. >> second. >> questions or comments? for ms. ellis >> this is a good one commissioner kwon you're looking for good news 3 acres and any comments from the public on this item yes come please. afternoon i want to say i'm from san francisco state university any subject is the environmental study this the stormwater management i was thinking to use this content for the stormwater
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to water the garden of the school yard and teach the children how to save the water and how to on the hydraulic cycle, however, those projects are deep we can build those to every school thank you. >> thank you very much. >> thank you for your support of green technology and infrastructure projects. >> stormwater management. >> good afternoon. >> hello. >> i'm currently study at san francisco state university exchange student if japan the environmental studies to give a comment to this stormwater program i think this program will not only help to enhance the san
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francisco sewer system but give the opportunity for children to study about the hydraulic system especially the water how it is consistent i think that will enhance the students knowledge about the precipitation how the use of water will simply - i'm very hope there will be more schools with this green school yard program. >> thank you, thank you for your comments. >> any further comments on this item >> all in favor, say i. >> i. >> opposed? thank you that motion carries. >> next item, please. >> item thefrn approval the
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administrations for the maturely of 4 hundred and 25 thousand with the estimation of the contract of 60 consecutive calendar days and govern again. >> steve richie just a minute manager this is a proposed contract for 4 hundred and 25 thousand the increase for the discovery of more contaminated soil than originating estimated the contract is running very smoothly close to the completion of the work we need to have some stwra money available this is the bid was the estimate was even with the cost contingency is blow the overall engineers estimate. >> a motion to approve this item. >> so moved and second. >> it's the gift that keeps on
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giving. >> i have others if you want to see. >> in thank you. >> mr. richie i have a question what happened with theirtions helping to cover some of this gun club. >> i should i refer this to norway reign i can go ahead and answer it we have suited the gun club that initiate the ability to assess the insurance or a legal assessor the deputy city attorney has been working with the council and to try to identify all the potential insurance policies we've done a good job and engage with the potential insures that are liable for the clean up costs. >> any comments from the the
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public comment? >> just a quick question if steve can answer that i'm eric brooks on the water committee of the san francisco bay chapter of the sierra club we had a discussion about not only the gun club but one in the east bay that hopefully, will be shut down as well we didn't know whether that was lead or other tokens and materials that on a he had to be cleaned up besides lead in steve what clarify that would be helpful. >> mr. richie. >> sure in addition to lead that is associated with the lead shop used two the gun club there were cashes that are petroleum products that are used as binding accountants for the clay
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up to 2000 in 2000 they shipped it to a different material for the as toxic we're finding from that levels of arresting ethnic here and there but lead and others cashes carbons. >> thank you very much any other comments under the public >> all in favor, say i. >> i. >> opposed? >> that motion carries. >> next item, please. >> item 14 authorize and execute an agreement for the state resolving fund loan not to exceed 4 thousand for the hallow green project. >> hello, again. >> want and commissioners eric with the business services a presentation if you'd like to describe the item.
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>> briefly please. so i have a few items to talk about the state resolving and loan program generally and the commission has take advantage of the new programming for the ssi and the specific ones. >> quickly the wastewater was a participant with the early version of the state resolving loan program we took out 13 loans for 200 and $80 million, however, after that initial program it was less cost effective than the alternative revenue bonds and recently, we working closely with the state resolving or the water resource controls board to amend the terms to extend the term of borrowing and provide more cost effective boring and we plan to
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make use of this program for the improvement program the terms of loonlsz loan is a thirty year 26 percent a cost effective component and here are the projects we have sought to prevail for and as you can see the lake merced green project is the first in a series of loans we expect to procure the commission approved this in may of 2015 and construction in 2015 and noticed to proceed in late 2015 the financing terms this is a summary and finally the requested action to approve the insult sale agreement with the state control board. >> okay. >> the interest rate is the same for thirty years. >> yes, a fixed interest rate
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and any other questions? >> is there a motion to approve. >> second. >> any public comment on this >> i. >> opposed? that motion carries. >> next item. >> thank you. >> item 15 authorize the general manager to enter into a memorandum of understanding with the gentle services agency cracked administration of the city and county of san francisco additional the g h s real estate straish the terms and conditions of the transfer of the property in san francisco to the sfpuc including payment that up to $73 million to sfpuc to obtain the jurisdictions at 45 selby and on the properties in and 3 other memorandum of understanding terms and conditions subject to the board of supervisors approval. >> thank you. >> michael deputy general
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manager again so we're involved in actually, the relocation of central shops if i could have the slides please on the left of the screen i'm facing the central shomz as you can see the shops is contiguous with the control plant we needed additional space as we embark on our large program for the lay down area for the various activities associated with construction where can we find additional space and looking at the shop space was ideal so we use the word jurisdictional transfer all properties zoned by the city and county of san francisco each department has jurisdiction over the property on jerold known and central shops in the office of
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zoning administrator so they have jurisdiction of the site it is adjacent to the southeast plant 6 acres and 80 thousand grow square feet many say under roof we repair heavy duty trucks and cars and 4 acres they store cars and 90 employees 6 thousand vehicles a year the central shops for the lawn enterprise department we have our own auto repair shops that is taking care of the general fund departments what we're proposing is the purchase of 5 selby and goggling visa those are properties that are up for sale we will purchase them out right and one of the things we'll do is lease this we need roughly the same amount of
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gross square footage under roof for the heavy duty repair the goggling visa is for the heavy duty and the other for the light duty vehicles the selby is 2 housing unit 8 acres constructing a 50 thousand grow square feet facility one acre yard under the freeway for vehicle storage and easements with caltrans and caltrain and this is allows us for circulation around the property we will maintain the jurisdiction so when we purchase those properties they'll remain in the jurisdiction of the puc and why this is important because the central shops ever moves or have a central shop function the puc will have control and are assets to decide what to do and did other side is
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450 collin 1 hesitate acres but the 45 gross square feet this is for the light duty shop and this will supply what they need in total the same amount of gross square footage and the yards works out. >> and the budget is 73 beaked as follows: the purchase of two properties $11.5 million and the 4 hundred sites we'll pay for the lease for 10 years and approve the relocation costs the big tithe is $55 million and the totals in the construction or project ratio about april 20152016 to july 2017 and allows
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us to continue the activities to improve that plant so that concludes my presentation. i'll be happy to answer any questions. >> commissioners. >> sounds good. >> sounds like expensive. >> so is there a motion to move forward with that item and sym. >> comments into the public. >> all in favor, say i. >> i. >> opposed? next item. >> item 16 public hearing and possible action to approve two proposed for rules and regulations governing the electrical service. >> good afternoon, commissioners barbara hale assistant general manager for power what you have about you a technical standards associated with the rubke's they govern
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larger how we'll share the costs for new interconnection who is responsible for the costs and issues like that sizings of the gear this is issues like that i'll be happy to answer any questions a furl confusion that is an overview thank you. >> i'll move the item. >> second. >> other comments. >> eric brooks this time for san francisco clean power advocates sf will have the construction involved especially with the offshore stuff going on and ms. hale addresses that. >> how does it effect e clean
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power. >> i apologize. i couldn't hear. >> how does this effect the cleanpowersf clean power and distribution. >> those rules and regulations apply to the pub owned utility service cleanpowersf the distribution and transmission services provided by pg&e by state statute no effect on cleanpowersf no action for you to take. >> not limit us in the future if some reason beyond the cac we moved into the retail service. >> this item has a building and being probable for more distribution services to so forth our customers the statutory construct a cac
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program refrigerates the ground pg&e to continue to provide transition and distribution for the partnership in them and in the unlikely event the state changes that statute. >> we'll be able to over pub overboard utility services to customers we're current limited to provide clean power services to. >> and limited by choice how we investing in our assets. >> thank you. >> so there's a motion on the floor any other public comment. >> all in favor, say i. >> i. >> opposed? great, thank you next item. >> item 17 a workshop presentation of clean power risk assessment plan and best practice policies.
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>> okay commissioners, i have a presentation for you barbara hale just a minute general manager for power if sfgov can bring the slide back up please and actually i'll switch mike's thank you. >> so today, we're discussing the clean power business plan elements risk assessment and recommended best practices and policies within each of the elements let's god and begin with a refresher of the overall program the city provides the salt lake city per diem does most everything else more specifically under clean power we would provide supply and other services necessary inform participate as a community agreeing grandfather that are
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identified here. >> as you can see we plan to provide some of the services in house with our staff and some via third party a like notable america and taking those services on we'll enjoy revenue opportunities. >> this slide puts the opportunity in context we project that an initial enrollment presents a $36 million revenue opportunities full enrollment at 4 megawatts 200 and $90 million annual revenue opportunity we're talking about a program that at full enforcement a little bit bigger the enterprise by the annual measure and bigger than the volume of account by 3 hundred thousand compared to the other this is not a light lift
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and what we're trying you can really what are we trying to accomplish with this undertaking affordable cleaner electrical and maintaining job and rates and financial securities this is what it is about is that reasonable to achieve those goals high school remaining financially viable do we remain financially viable when key costs and revenue assumptions are tested this sensitivity analysis work and do our exception hold with the full enrollment case here are the base cases and running the numbers for the program built in some of the recommended practice policies i've noted those with the green
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arrows. >> i already talked about the revenue opportunities i'd like to packing take a moment to talk about the cost drivers. >> it is electrical display program you could expected it will be all about supply costs and that is really what this chart shows you $25 million annual if that $36 million revenue train dedicated for the cost of supplies staffing, and third party services are among the operating koftsd that influences our customers experience and finally we have the operating margin where some of the policy choices are funded for example, do we include a rate discount relative to penguin and fund a renewable content of target that is higher than the 33 percent required in 2020?
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those figures shows the average cost over 5 years for the initial 50 megawatts here's the annual more detailed break down of sources and uses it is color code as you can see how the use and cost relate to the pie chart you've just showed you but by fiscal year 2020 the recommended reserve is fully funded that's what i've shown with the red cycle so it takes us to that point to fully fund our reserve >> now let's turn to risks we've identified the risks that tracheal over ability to achieve our be object we've used risk management to identify and score
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them in the business plan we've taken the risks which are here in the second column and the impact on our objectives that are hone in the first delirium and mitigated the strategy for reducing the risk in the third column we'll recommend the commission consideration inform guide the management staff of the program and the policies should help us to get the balance right among the program objectives you've laid out for us those 3 risks capture the primary revenue and accept for the business plan our base case assumptions indicates the visibility to mediate our objectives, however, the margin is small as the resources and uses show they identified this through the risk management process and expense
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risks. >> here as you can see a sensitivity factor identified the chapping into the base case molding model and the result in the advisory committee of him impact in whole dollars as an annual net impact and as percent of revenue the first sensitivity factor we mofltd it opt out what is opt out it is less than 10 percent we expect or more than 10 percent the 10 per more customers opt out we have a potential loss of 2 housing unit 5 percent of operating revenue that would make that orange slice in the pie your operating margin 2.5 percent smaller if we have a different customer mix more excuse me. less or more commercial back filled with residential customers than we
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expect 5 percent fewer commercial customers we'll having see a $200,000 reduction in revenues a ten percent change in pg&e generation retail a $2.6 million value to the program the salt lake city portfolio sensitivity factor models the impact if we keep 25 percent of our supply portfolio open so thinking contracted if we have to purchase in the market with prices 10 percent lover our contracted cost our operating revenues about increase by $500,000 and from the prices are higher the revenues will drop by $500,000 and the finally it is
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the renewable content we've model did base case with the target of 35 percent a 5 percent increase has a $500,000 negative impact on the program costs a two percent decrease in that from 35 to 33 percent improves our revenues by 200 thousand as we work through the business plan and the different elements today, we'll be roementd policies and you'll hear how those risks are mitigated through the policies. >> brandishing before you go beyond that slide explain the pg&e rate change line you said no change in cost. >> that assumes we do nothing the supply costs have not changed pg&e lowers it's rate, what's the effect on us?
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that would be if we responded in kind and lowered our rates the same that would be a $2.6 million reduction now as we go through the policies as you can see if a reduction like that will cause our program to recover insufficient revenue to cover our program costs weighing we'll be in violation of city chart a floor to what we can do in responding to rate decreases by pg&e. >> thank you. >> can i ask a question sure. >> renewable content line could do we have to comply a new state bill 350 by 2030. >> yes. >> and cacs will have to follow that same requirement.
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>> i mean is that negotiated into those models. >> those models look at the initial 50 megawatts and the 4 hundred megawatts for the full enrollment case it assumes we will be in compliance with the sate requirement for renewal portfolio standards and get to the full enrollment prior to 2050. >> so we'll be a fully operating program by that at this point in time. >> i have a question too. >> yes. >> taking marin as a model. >> uh-huh. >> have any of the situations occurred to them in their programs is what 3 years old. >> 5. >> 5. >> 5 and a half they've seen the opt out rates higher than projected and seen some defensive in the customer mix
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then projected and what we modeled in 5 percent is consistent with the experience that marin has that is how we came up with the number and pg&e made speak changes to their rates now that was at a time when pg&e had a different rate structure than currently so our experience will nobody did compatible because pg&e structure has changed we can't expect that pg&es rates will change directing your attention of this and be unusual for them to swing as much as 10 percent but something we thought was worth modeling to see what the sensitivity of the program to those levels of change. >> this is a quick reminder where is marin they're operating budget and amount of consumers.
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>> i don't have they're operating budget but the latter slide shows you answers to the question that will come. >> harlan kelly. >> later on we'll compare. >> mike i'm available to answer any questions you may have is telling me they're operating experiences are $500 million. >> is that a one hundred million dollars i think that was more than one hundred millions we get that for you. >> yes. >> yes. >> so the opportunity it is big. >> uh-huh. >> so that provides a base understanding the programs revenues and costs and quantitytion of the risk now the recommended bypasses which mitigate those reflexes
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ferris up it the program design we're making rate policy setting recommendation and this is the area we've already briefed you on a number of times this is part of review should are quick the products and rates the green offering has a 33 to 50 percent renewable contents rates blow pg&e's go rate over super green contents are r or offering is at or below pg&es with 100 percent renewable content our suppliers we're now in negotiation with the pool of suppliers that were identifiedblast through the competitive bid authorized at the late meeting it is a good time to be finalizing our power
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wholesale prices for electrical and power have been declining and pg&e's we've been expediting has been decreasing we're recommending the product policy. >> you see here our content preferences and exclusions i want to take note of the content preferences and exclusions with bundled renewable power often referred to as bucket one or pcc one bundle renewables our carbon content is targeted to be lower than the forecasted pg&e content we have built into our program recorded f o a preference for local and regional power source from the 9 bay area county and
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we are not including any bundle unreasonable and are meeting the state requirement and no specified nuclear in the supply portfolio we're building. >> we're also recommending that our green offering have a 35 percent renewable content goal so we've talked about it being two 33 and 50 we'll target for the launch is rerecommending a thooip percent content so higher than what pg&e currently has a little bit higher than than wear required to have by 2020. >> where is pg&e right now. >> pg&e is reporting 27 percent right now. >> part of the effect of our
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flexibility on our green product and take into account it as 35 percent when we go out to purchase our program through the supplier effort wasn't one way or another we're asking for 40 percent renewable content. >> 40? >> that will have 35 percent for our green product and the balance for our 100 percent renewable product if we are successful in get for green customers than we're assuming in the base case 5 percent that will eat into the supply for our green content so our green offering may flip a little bit off the 35 percent until we procure more renewable to meet that that will stay within the 33 and 50 percent our target for the launch is 35
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and then finally we recommend that we steady the 35 percent when it is cost effective and met the financial and local objectives. >> i'm going to move on to the rate setting policy unless there is questions. >> on item 3. >> yes. >> did that mean when the renewables are less comprehend than non-renewables? >> i think that is more no. we're not expecting renewables to be more expensive than non-renewables we're saying if it becomes for affordable for us to say more relative to our costs and our rates and whether we've met our other financial obligations. >> so this gets into how we choose to allocate and extending
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spends the operating margin. >> yes. yes. >> thank you. >> it's that this right thing to do slice of the pie where is that money going. >> okay. >> so the rate setting policy first of all, we're following the chapter and commission policy as you can see at the top by chart they must it be continue with the financial help and this is over rate floor rates can't in all scenarios be less than pg&e rates our additional policies here we're recommending for clean power shown in 3 three and four and proposing the commission annual review the rates each spring and hold that he hopefully, will have our program having an attractive feature of rates where phelps programs tend to
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have rates that change 2, 3, 4 and 6 times a year we're asking that the commission allow the general manager limited flexibility to make adjustment within the year we're proposing here plus or minus 2 percent of rates. >> okay. and just to be - >> that the intent of that is somewhat counter to the one before you're trying to provide stability but if we need to move there is a conflict. >> part of what we talked about this recommendation confirmation there may be a customer class that pg&e is changing the rates on a lot and nooushgs of the year provides attractive margin to us we want the general manager to have the ability to make judgment for a rate class within the year perhaps in order to keep the
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financial contribution of this customer to the program. >> yeah. >> tricky decision and the two percent an average bill you're saying rates. >> yes. sorry the concept is that customer pay bills not rates okay. but the bill includes cac costs as well as non-cac costs. >> some customer classes it is going to matter from a bill prospective than a rate prospective we're looking for the lens for this customer. >> bills will always be more than the energy component so 22 percent of the - >> yeah. their slooifl two separate measures. >> it is bigger so 2 percent
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of bill is bigger than 2 percent of the energy charges. >> yes. >> and is subject also to other factors like penguin if they increase their t n d for example that 2 percent could fluctuate; right? >> yes. >> but isn't t n d consistent on all the bills. >> the transition yes, but no on the rates are different. >> mike's going to help us out. >> yeah. i think if i'm following your question that is independent of changes in pg&e's rate it is looking at the whole
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bill you're talking about the plus or minus 2 percent. >> the changes change the bill. >> the transition. >> and if their transition or distribution rates change it effects it, it is the entire brill e bill rather than the rate of power. >> it effects the whole bill that is sort of uniform cross the customer class and isn't effecting the clean power revenues or competitiveness with respect to the energy supply and the other thing we compare we have to take into consideration the existing fee so when you look at the rate ours had been lower because we have to absorb
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the center electrical for leaving the program and more complicated that is why we said look at the bill if you look at their rate and our rate ours is lover we have to at the end of the day coming if clean power we want to make sure your bill is lover when with us you understand. >> i understand the math it is tricky from a business stand up stand point when you use this flexibility is a real question. >> sparely. >> yeah. sparely that invites policies of their own but we don't need to fixate on that but. >> it seems like there should be should i don't know from the commission is involved or is that adjustment some from where
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the gm is before the commission and says we'll need a two percent adjustment because of xyz. >> but give the general manager some flexibility we see later on we'll see a lot of reporting address updating the commission on any of the steps so i will amend that recommendations we might have the policy complications all of a sudden we're seeing this exit fee issue so that burglary bump it up 2 percent and seeing pg&e's is doing an increase in distributions it's a separate bill and we want to have the flexibility within the policy because if we had to go and change the rate we have to go through the whole rate process that takes a long time within the flexibility we can amongst
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the commission and the general manager can have is a discussion verse going introduce the whole hearing process with the rate change that's the whole point automobile accident it should read a little bit differently than. >> we'll work on language to make that clear and i was checking with my case we'll put together a math example to make this clear before we ask you to adopt the policy. >> okay. >> so those policies are intended to have the rate stable built for the customer i'll moves forward to the market conditions and timing we'll review the market conditions and recommend the phasing proposal
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in prior sessions we have discussed our enrollment plans citywide brochure with automatic enrollment in the southeast sector with each enrollment we select the mix so that between residential and commercial customer types of the pace how quickly to the next phase and the timing when the market conditions are favorable for a new phase so first illegal let's talk about the mixed who are the potential customers we're talking about this bar on the left shows the mix of the san francisco electric customers the orange and gray explicit receive the supply from pg&e and the blue is large pg&e customers with lower rates and a higher level of customer care the green part is the residents that is our focus residential customers with the
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voting constituency state law requires us to over services and small and medium rates are higher than the costs do serve them now for pace marin here you see marin grown if from 10 to megawatts operating for 5 years so 5 years to get to one and 80 megawatts we're starting with 50 our full enrollment is 4 hundred plus megawatts and the market conditions one of the primary conditions that manages our pace of growth and forward electrical trends show that prices are stabilizing at a relatively low level that's good but price is not the only consideration
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sufficiency of renewable supply is key over ability to scale up as our systems scaling ability to supporting our ability to add customers and finally we'll need to have the credit collateral support to procure the supply and pay the bills that brings us to the recommended phasing policy under this proposal we're recommending that we not initiative a new phases under the conditions are met so rates projected to cover program costs at or belief pg&e's costs and sufficiency of the supply candidates and staff and sufficient credit and collateral and working capital to support the new phase for this phase we're proposing that rates be
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set at half a percent belief pg&e generations rates finally we would seek and obtain any approvals of rates contracts are financial support, before initiating each new phase so you can expect to have a similar conversation before each phase before we bring this to you to add customers. >> so half the percent verse the quarter percent make a difference new. >> a half hour percent is like - the half percent is $200,000 so one hundred thousand dollars i never do math in public not without support. >> can i ask a question. >> absolutely.
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>> we talk about a half of a percent blow pg&e's rate that is their rate their exit fee; right? >> that's their generation rate. >> also on the generation fee our rate has to be we need to do the math and so yeah, the rates were set - yeah, the exit fee the pc i a. >> yeah. because your rate is already lower thanking their rate and correct >> i'm just wondering what the highest rate we can provide is that is still blow pg&e to be generating any additional revenue and banking the revenue so the public will be getting a cheaper rate in the publics mind they don't care but bank and move to the next phase.
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>> i mean in my opinion with a half of a percent is gives the flexibility that when they change it 6 times we have a buffer if we get too close we could be in danger. >> they're under cutting. >> well - >> we don't want to do that it is a buffer it is you know a risk and since we're making a commitment to change it less frequently he feel that having that maybe better for our program. >> uh-huh. >> you know another thing i'd like to add to the conversation. >> the consumer is not going to analysis the way we are it has to be really clear less
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money period pick out the items and we also can't explain it. >> well commissioner caen think to that point under sailing a combarng to pg&e's rate once a year provide that rate comparison and we looked at the rate comparisons for marin and scholarship not clean power but published and this level of rates this discount will be transparent to a customer in the way that the bill comparison the rate comparisons have been published in the past. >> yeah. i've seen that. >> yeah. >> so i think that the easy way to look at it we talk about our rates when we have the other costs to compensate but the
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bottom line is the bill we compare the bill with penguin with clean power and show ours is lower i think that is sort of the simplest way to explain to everyone that is what we're talking about it but the issue is when we talk about our rates because we have a rate and the rates have to be lower to compensate other stuff that is when it is confusing so to make it simple go to the customer if you're pg&e you'll have to spend this much money and ours is much less if you're on pg&e's. >> i think the general manager kelly's comments we might be doing a margin but we want to make sure that whatever plan anxieties our ability to respond but the affordability i like
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that plan. >> yeah. assuming i want to make sure we're i mean. >> too much on the table. >> i understand from the public prospective we don't into the weeds but if there is room in the margin to be able to save some money and do more good that's all i have. >> but. >> and keep you comfortable. >> if the case say that energy prices increase that is why we go back to the flexibility to make adjustments and still be competitive and make more margins to be greener or you know build out so that's why we want to have flexibility. >> yeah. >> shall we move on to operations. >> okay. >> so here's the design
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elements we've cover under operations the supplies making up 70 percent of the costs and management of that portfolio is key to program success here are the primary down side supply risks and your strategy to mitigate those risks those risks were quantified in the sensitivity analysis we covered and improperly the customers to address our volume like the opt out risks at 2.5 percent of our revenues fix the short and middle term to address the price risks for contract supply for the first 3 to 5 years and eliminates the 1.4 impact to revenue identified in the sensitivity analysis and finally set rates to cover costs
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when financing feasible in the portfolio to take advantage of the price reductions mitigating those risks comes down to proactively planning and managing the supply that will be mrifshd through existing functions a daily and monthly and quarterly activity for staff and to report to the commission those slides that are coming up are intended to help to illustrate the effort a firefighter that will result in the supplier new york city each color represents a different contract type of the numbers are the megawatts for this contract by that contract i should say together they meet the customer demand this illustration has a assign a 3 year contract 5 year
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contract and 10 year contract the blue outline on the top right of chart are the open positions the demands we serve without having a supply under contract. >> here's year two with the passage of a year the open position was closed for the fourth year a new open position results and so forth with new contractors laid in with varying technology and duration and local location price and supplier your supply management policy we recommend fixed voluntary manslaughter's and prices using contract and review the performance the portfolio and have an integrated program for the illustrated layering contract i showed you and ultimately i establish the
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guidelines and preferences as noted here. >> that's the major parts of over supply and local programs are not piece of the supply picture. >> now this slide should be familiar we've discussed it over the years shows new local build supply and the energy financial at the bottom of the page to show you our local demand many programs will be available to the pg&e customers and commissioner vice president moran you asked about this during a commission discussion as you can see programs that are available to clean power customers with the exception of balanced program at the bottom of the pamper we're going to develop that project presently none of the operating cacs have
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this program in the meanwhile we plan to not automatic enroll the participant in that program in our clean power program. >> why, why is that. >> why is that that none else has it just working with pg&e so pg&e with the balance payment program and the cac complexities pg&e will be having the customer pay and set level throughout the year for the portion of bill that they're responsible for . >> we'll be responsible for the other portion; right? it is the sharing of the revenue that comes in it comes from the customer flat the costs will not be how do we handle that leveled bill given the fact that pg&e cost and ours surveyor over the cost of the years that podding
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efforts to resolve those questions to keep cacs from the balancing plan. >> so they can have a low payment and go to their costs. >> yeah. >> now does this let's see 3, 4, 56 i show 6 programs i was looking at the pg&e website and how to manage your bill a and some of them are references to other entities their federal programs some community groups they'll refer to i would like to expand this list to showing see how we compare to that the balance payment plan is a tough one i guess that is less important in san francisco than the valley. >> some people i hate to take
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those people off-the-books you yeah, the other complexity is pg&e's bills 19 are combined gas and electric. >> yeah. >> those are the complexities behind the note answer yet to the balanced plan at the launch of cac but, yes there or are other programs that per diem provides the rule of thumb if it is a program that is funded through the portion of the bill that pg&e that cac customers continue to pay pg&e for they're eligible and no change in the level of services that customer will review r receive. >> it is important to respond program by program. >> sure. >> the clerk list you're using this do you qualify under the program. >> we'll include the detailed list in the full business plan
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on the 8 okay. >> so the important part of the locals projects is the job opportunity they'll represent we've projected the jobs in 3 categories program faster recombustible and energy efficiency the launch we're expelling to have 10 full-time staff and 5 percent of our annual energy supply comes from local projects and for energy efficient three to four jobs a year initially. >> that brings us to our recommend local programs and jobs policy. >> so may i ask a question on the phase one 10 ftes that is
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total ftes on a given day working and correct 10 nefts ftes in a fiscal year. >> okay. >> so the local programs and jobs policy we want to make sure that customers remain eligible for programs and services they're eligible or develop compatible programs we want to balance the local project funding with affordability and financial needs and renewable enhancement and get the net metering and program started to make sglor and at the time set limits within mitigation of project failure and the evidence will then show the programs like those we've spoken of as pg&e and those run by the city with
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the vice president of environment san francisco department of environment. >> i'm ready to move on to the final operations topic we will have new requirements and needs to go along with the program we're subcontracting interacting with the state agencies and even more with clean power operating we will have to stay informed and active to protect our interests but not alone with strategies that are litigations to make sure we're dwaenldz with the regretted or reasonable certainty oversees and have partnership in our interests now we can turn to the of him structure and needs of the program if you're ready. >> and this sessions we'll recommend the reserve policy.
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>> so first of all, your financial structure the bonds endeference requires that clean power is financially separate system the ratepayerers and the clean power service are different and the revenue is separate you'll eventually see separate transparent financial report power enterprise will continue in support of launch with working capital and the letter described here on this slide. >> we have a $4 million working capital loan to be repaid by 2018 with interest we have a separate action today on the agenda which requests an extension of the 2018 date and a letter of credit it secures our power contract obligations it
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will be paid after all other power enterprise expenditures the cost for it will be paid by clean power and so those rate payers are the beneficiaries and that the authority to exercise that letter of credit will be brought december 8th for approval. >> thanks. >> questions on that. >> uh-huh. >> if say that the letter of credit will be supportive to the enterprise expenditures does that exclude r and r and capital and yes, it does. >> okay. >> my partner in crime here cfo. >> and i guess while your surely we've been wrestling with the cliff and moderated - and
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with the balancing that against rate increases forever the general fund if we were to exercise a letter of credit how will that not impact those other programs. >> the letter of credit to provide inturt for the bank o trengs this represents a pour the present value a thirty percent decrease in the could have of power it represents the financial impact and the market and then extreme negative movement unlikely that the interrelation a draw in the letter of credit and a number of options the letter of credit
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terms out there the terms a 7 year obligation we could take the remaining elements i'll step back and take that obligation to fold it into the power enterprise portfolio with impacts on rates and charges that is one option two to actually have a draw on the letter of credit and term out of the provisions and then eyed you'll have a number of options to defund certain capital projects you could increase the general funds over time but that is really a security for an unaffected event. >> and then dealing with those things you'll assume they
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happen. >> yes. >> the last time we fund this risk with a appropriated review pardon me. >> an prototyped reserve. >> the $19 million. >> it was a combination of an appropriated reserve and a lockbox structure that loud the power provider to reach in and take the first power. >> it was cash on the barrel. >> yes. and here we're saying we can instead of tying up our money get a letter of credit that make sense the concern is where the credit that is backing that letter is a 11 is power enterprise as opposed to a general fund credit. >> with knocked a around this notion who's reflex is here
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ultimately it is the general fund and when we have capital programs that are concerned about that have water supply and impact having it going against the hetch hetchy reserve is a concern and we looked a number of options for spotting the program the lockbox structure that limited the competitiveness of the power procurement that is when you enter the lockbox structure one provider and so we opted strategy it resulted in greater procurement not using the lockbox structure we've talked about with the controller's office with the general fund backing essentially the discussion was that
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eventually it comes back to hetch hetchy you ask get a letter of credit but we'll be paying it. >> how does that work. >> you want me to explain. >> yeah. >> so as you may know we have customers and we have customers would be paying equal to pg&e and customers which are not and so the only recourse to recover the money for the power enterprise to raise the rates of those people that are predominantly general fund. >> so they recognize if something happens to raise the general funds rates and i thought i heard just the opposite what i thought i heard was that the credit was the general fund that ultimately hetch hetchy will - so the
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reverse of that. >> the thing that hetch hetchy is fund by the rate payers or their customers the customers are enterprises and general fund we can't raise the enterprises and can't raise them more than pg&e. >> and there's a float not general fund rate that will cover the retiring a letter of coyote crediting by this general fund rates. >> is certainly angan analyze >> it is at risk and without seeing the numbers in front of me the recognition of the subsidize a considerable and should be able to pay off the line of credit i want to be
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explicit about our intent first of all, is the line of carpool credit but under the circumstances we had to and i would think this is mandated by the bond that letter of credit couldn't work for the detriment of the enterprise. >> the letter of credit is 11 priorities to support the letter of credit it is subordinate to the last in line to the hetch hetchy ultimately a commitment to set rates and charges to pay off outline obligations some of the bonds covenants stop short of bond program. >> we were clear about the bond to subordinate clauses. >> let's have a more thorough dissuasion as part of risk
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analysis how that would flow and that it not flow to hetch hetchy reserves but flows to ultimately the general fund. >> we made it clear to the board of supervisors the mayor's office, that you know if we use the power enterprise and something happens we'll have to raise the rates of folks that are not paying the pg&e rates. >> they understand who the customers were so i guess as part that have we'll make it more explicit. >> that needs the board of supervisors authority that's the risk their square feet this about work i want to make sure we know there is skin in the game. >> we're ultimately talking about developing a track record for clean power sf with the
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financial definition is cleanpowersf off the power enterprise and becomes a financial self-sufficient. >> and that financial is it sufficient is at the core the policy that provides for long-term financial ability and the third party's service providers and power supplies and lectured or lenders their essential for that a cleanpowersf power rating that's what we're striving to achieve all ass considerations with important to the clean power growth and the financial needs change with growth. >> here's an illustration showing the book ends of the initial launch and what the financial needs around operating rears and working capital and
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rates and could lateral to the supply candidates for phase one thirty to 50 megawatt and the full city 4 hundred megawatt program and finally the recommend reserve policy. >> our operating refer target we proposed 90 days of operating expenditures for the contingency reserve we're recommending 15 percent of annual revenue and prioritize building up to the target reserve levels of 3 years of launch we're prioritizing that orange slice and that pie towards funding those reserves this is what but saw in the resources slide. >> now for the final business
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plan execution if you're ready for me to move forward to that. >> execution includes our governance and performance reporting policies, the governance really this slide references the exit city government checks and balances among the branches of the government and the city procedures and requirements in place today and applies to the puc jefferson to clean power. >> our recommend performance policies are next here's what we propose to report both for the performance and the objectives in days program including the metrics for in performance as you can see that is focused on renewable energy content and local production and savings and the environmental benefits and the economic and social benefits
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and the social medics we proposed to have that reporting to this body and to the regulatory agencies referred to earlier so in summary the program design supports launch we've identified and quantity if i had the program risk and the examination of the base case assumption to kind of the goals and policies this was put together by the staff at the puc my clients and member gallo meanwhile that is actually on leave at the moment hi meg and bryan stevens and bryan and folks sitting behind me recognize them and others i think are still at the office and with that, we want to say
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thank you to them and thank you to you and let's get started. >> thank you. >> commissioners comments. >> is that an expressive body of work and very excited i want to ask you ms. hail any foreseeable hiccups in timing we have our calendar. >> so far so good in negotiations with the slivers that's moving along and our next set of activities for december 8th to bring to you the policies we've discussed as resolutions to bring to you the letter of credit and the rate is there anything else on the to do list that is it and we're moving
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forward with all of those as far so good. >> some questions. >> on page 9 i think of the charts the 8 percent operating margin. >> yes. >> that is combining the dwran and the. >> so the base green product getting to 33 percent. >> right. >> is well the rp s requirement is in the supply part of that pie. >> okay. >> the consideration amazes above that the different between 33 and 35 and the difference between 35 and 100 percent are from the discretionary slide. >> does that make sense. >> not really. >> when you have while i talk.
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>> is the light green program as you'll have envisioned it will create even though operating margin. >> is the light green sorry. >> yeah. is that going to create the operating margin. >> yes. that electricities to the operating margin and the 8 percent. >> at the rate of 8 percent yes. the contribution from super green beyond is costs; right? >> are hone on the basis and sources slides 10 in the orange section under uses for the green project the contribution from super green customers above their costs have shown are dedicated to local programs and projects
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at the tune of $100,000 a year. >> huh? >> okay. this is actually, the reverse of what i had. >> okay. >> and what you i'm - at the beginning we talk about what the program offering is - i don't know what the slide was but stepping through it was the program design but the products are anticipated and so forth. >> uh-huh. >> what i've been thinking it may not be consistent but i was or even for some number of the customers i'm assume their light green consumers they care about where their power comes brown but care about the rights if there are reasons that pg&e
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throws out there you shouldn't do this or if they're part of rate program and losing that there has tobacco a reason that appeals to both and for some number the customers that will be lessee think or was thinking about the base offering partner with you to reduce our bill and part that have is through rates that are belief pg&e's to the extent and the other part is through working with the conservatism program and the combined effort like in a reduce bill in this case from the light green program were creating an operating margin okay with the public sector version of the
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profit that you could have is a policy that says we want to put some amount of that into a reserve to reduce the rates. >> and we could put some portion into a program thsuppor conservatism this is the goal of program to use less power we want you to use less power and the success is to reduce your costs and that's what we want to do the super green is a fertile area and on top of that if you really care about creating additional jobs and green energy and all that you have disposal income it not an agony we have an opportunity to partner with
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you, too and the operating margin that is create by that we'll allocate maybe put some of that into the other things but primarily into the build out and the more grateful green programs one of those would be go solar if you sign up for super green you'll get the participation in go solar and really knock our usage down. >> now is that comparable thinking where you've been going or- >> how does that fit in. >> that is compatible thinking i think that the energy efficiency in mind we have identified funding sources
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separately separate from the revenue stream from those customers to develop that. >> because i would think that is important to say that will be clear up than you're paying now and sell the awe appreciation all the goal in life to reduce your bill have you buy energy less. >> i think this is something you could sell throughout this program. >> i totally agree i want to caveat that's what we were talking about on the lighter side we have to plan what that looks like i wanted to. >> itself difference no, i absolutely understand the difference who is reading on the waterside is all ours we lose
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revenue in this case if we lose revenue on this we can go out and lure more customers and that's the concept of the integrated resource plan comes into play you're looking what the customer demands and the supply portfolio to meet that need and the forecasted you know success on the energy efficiency that reduces the projects energy demand to match our supply portfolio with that every shrinking demand because of energy efficiency program. >> who funds the energy efficiency programs is it the - >> pg&e is funding the energy efficiency through the distribution rates and marin was successful in getting a
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allocation of those funds to the tune of $500,000 a year when they started they have now substantially submitted an application folts sfpuc and gotten a large chunk the contribution of their pair base towards they can administer the funds instead of pg&e the states used the funds and ratepayer funds the state decides who gets to run the program. >> just to be clear not within our margin margin for energy efficiency and maybe some things within the margin. >> i've. >> if we have good ideas how to help people reduce their consumption. >> this think an area where policy and the finance quite a few come together in marketing as well
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and part of what actively lead me into that was the may that be marked to be able to appeal to people not enthusiastic will the elements of program and then as we talked about this program earlier the idea of making that an explicit part of program definition and the product over and the existence that would be powerful and gets reflected in the financial part you don't have it here but a policy that says within the light green program here's the allocation and as we have success they'll be allocations into rate conservatism programs. >> yes. yes when you looked at the sources and the slide you see we don't have much margin to do that with until after 2020 if
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we ask me succeed in operating the models we've modeled. >> i have a series of comments about the build out schedule but if people want to talk about stuff i would yield the floor. >> just to follow up i mean when in the we're looking at a launch pretty much when do you come back with a response to what what this proposal looks like i like the appeal not only for the marketing but an equity to make sure our rate payers in the city have feeling like they're paying less for electrical than from pg&e i don't want to forget the bigger
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goal of g hd reduction we're shooting for and planning the state policies that is why it was envisioned in the first place but that will appeal to the millennium and some of the main goals it is again back to earlier ear conversations around the spot of hitting the right number and then sort of prioritizing not only from a marketing prospective but a financial as well as kind of a values based prospective how we wanted to launch; right? >> i think for me is that you know one we want to leave with affordability for those who are automatically enrolled they'll bill will be cheaper and the opting out we want to look at, you know, where the bills uniform bill we felt that we
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wanted to wait on that we want to show the program is successful and eliminate all the reasons that people may opt out because i think the negotiable thing to show success so this is what think the first phases to demonstrate success and over time to figure out how to make that happen and the other thing we recognize that we will pursue the pg&e fund or the funded from the rate payers on energy efficiency and do the exact same thing but we have a net metering and feed and takeover with go solar program that we can trailer and so we have a lot of things to off but the main thing you know people have to opt out we're give them greener energy for lower cost and have the check
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list of 12 programs we supply that is a good start and you know we are concerned about phasing because we have the goals we have to accomplish but you know we'll our eye on moving to the next phase. >> on the phasing issues observe the years we've had a lot of discussions how soon and you have some discussion here about when the market conditions are right and all of that i'd like to explore the possibility of building both that success oriented triggers and by that i mean we need to repay the loan to hetch hetchy and build the
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financial wherewith all the bigger program takes a bigger line of credit and there should be able to be some financial thresholds that we set for ourselves instead of when the program succeeds to a points you fill in the blanks that we're ready to go to the next step and part of where i was thinking that maybe useful if we simply have a discussion from phase one to phase two an argument we're spending money that explicit exist yet i'd like to have the expansion based on the success of the program users and the board of supervisors and the advocates that are here are all equally involved in the success of the program and reachings threshold and soon we
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can and if it turn out the advocates are closer to the mark in terms of the advocates god bless them and we'll go faster if it takes longer well, it does. >> i would like to explore that that may take staffing to figure out what the statement of the thresholds look like but i think that will be useful to orient everyone and making sure that happens as soon as possible. >> i think that is a great idea by the way, the program needs to be financially viable and i think beginning it now would you know put everyone on the on the same page we we phase
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in the next. >> the only possible disagreement how fast can make that happen. >> local bill. >> that's it. >> do you want to talk about some of the local bill build outs. >> yeah. local build out burglary be part of that as well that gets into the allocation of any generated margin from what you said earlier my assumption you've said the super green will pay for build out and stuff like this so the generated margin is by definition close to zero; is that right? as i think i'm going
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we're saying the same thing i think what i said the super green margin above its costs are shown on the resources and uses slides addressed one hundred thousand dollars a year put to the center green projects and programs pot. >> okay. and will that will the source of local build. >> yes. many of the local build will be part of base supply some of local bill will be part of feed and takeover which is a supply cost so it is luke also the fact that some local build contribute to supply. >> okay. >> the emergency efficiency exponent is harder to see in the
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- because it as reduction in need. >> uh-huh. >> and for local i guess the part of that i'm the least clear about is how the allocation decision is made within the light green program to fund the local build as as opposed to rate reduction an allocation decision that is not clear to me and the center green i would assume that if you saturday out from super green a lot for revenue for customers because the rate is higher and that money po would be available for stuff you can't afford under the light green program to the extension to build out or go solar or something.
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>> but that - i've been thinking if i want to try to make light green as inexpensive that is in conflict with the potentially the local build out local build out if you have a robust super green program for the express purchase of getting that done should though off not doing that which is why it costs more. >> part of the local build is performing the local efficiency work. >> okay. >> people will be employed to perform that work. >> okay. >> i'm sorry general manager. >> i was going to say when we identified you know the energy contracts wearisome of it we invest in the projects locally so although we have the margin but purchasing the power
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from projects are incentive tied projects not built yet that is as well local build out stream one your buying energy if a project not built yet the cost supply is not part of the - >> it is part - >> it is indirectly not part of 8 percent but part find 60. >> yeah. 69 part of the green part that have that pie with my looked at the pie on the screen now sfgov. >> like sunset part of supply; right? so i won't see it as part of margin but the cost of power creating the jobs. >> okay. >> i'm sorry. >> go ahead. >> i789d i do think that would
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be good to unpack that a little bit so if one of the supply sources is sunset restore and jobs society with directly and potential indirectly to get it going that's been one of the goals from the begin and supervisors and shareholders are asking about especially meaning as we've done with the energy component to start of the measurements now baseline how much of it is renewable a bigger he'd of renewable energy efficiency and breaking down to go go solar program under the renewables or hetch hetchy potentially to be considered a renewable resource and under the energy efficiency, however, you breakdown you could put some of the feed and takeover stuff you know maybe that is in the
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renewable piece but getting a sense of the cost going to those projects as well as job creation and actually money that are graded the power that is being generated and the efficiency that will aggregate as marin the g h reduction. >> and it tells people what they're buying that seems to be part of a marketing program the extent that light green is supporting some kinds of local build out it is important to say and there's a judgment call to be made as exactly where those preferences go and the super green has to have your buying something more and destine what that more is. >> i think you are absolutely
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right the main thing is that we needed to identify how green the basic promineduct if we don't ha margin we're in a better flas place if we are saving 35 percent we have a better idea of margin and we know what the suppliers and the projects their submitting so we know that potential build out will be on this side. >> we have an idea with the energy efficiency money so once we come up with and make those assumptions and make that come forward with those assumptions we're in a better place i want to mention the difference between green and super green making changes to people that is 100 percent renewable and so, i
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mean that's a big jump from there are no to 100 percent and so i median this is the big driving force and, in fact, what happens is that we with more people move to super green we can off and purchase more local renewables that is what we're seeing if with 100 percent super green that your power source is coming from this project i think that is what you're saying because with the 35 percent you have the 65 that is not renewable so 100 percent you can say it is coming from there and the other part of that is if - if as part of signing up for super green you'll have access to the subsidies for go solar
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and even though and the feed and takeover that makes that investment good. >> okay. >> thank you obviously thought provoking he appreciate you're putting together that material and i can't wait to hear. >> thank you very much thank you. >> commissioners. >> so we'll take public comment on this item. >> just the two or 3? >> eric brooks san francisco clean power i have only 2 minutes i'm to have to be brief and con sees it great to be at that point work well with staff in calculation with the staff and the roll outlets one big thing that seems to be missing
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from the picture is that we need the reason advocates worked with the folks in the program in the first place we need to get the whole 4 hundred megawatts completely 100 percent renewable by 2025 and make the city 100 percent by 2035 this program will not reach those objectives without large-scale revenue bonds and this is not gone into and short time vision and some of this this seems the cat the power enterprise is spread out in the clean power program makes we wonder about the bonding authority we step up to the plate to help you with the lower
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paying customers to the power enterprise has the bond authority to seek the revenue bounds for the program i recommend to help to get it process and get to the 100 percent megawatts we've always the objective to the program is go ahead and set up with just like we did before more small increases no general fund customers we advocates can get behind that will equal and maybe be above the reserve you're looking for to build that into rate increases and not sit down aside a $40 million revenue but their expecting their bills go up and we we need to bond for citywide program for 100 percent
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meg waited we need to make sure that is planned for as we go forward we not using the tripling fund for the pummel bills 25i9 not enough thanks. >> can i just want to make a comment that everyone talks about the power enterprise it has its own needs we'll probably talk about that when we go into budget and that's why we wanted to make sure that hetch hetchy has its own issues and has it's customers now cac has its own customers so, so two separate implies to make sure that everyone understand that. >> hello commissioners jed with the 350 sf thanks for the
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staff staffing to put this together and nice to see a balance sheet definitely we're moving forward i wanted to kind of unsurprisingly talk about the build out a little bit those some jobs created from those supply expenditures with the operating margin kind of unapologetically to the reserves that are important about 2020 it seems like if we're going to have any really substantial build out in the long term we are going to need financing and so you know again having looked at this program hypothetically and looking at the options and bonding option including the revenue bonds not necessarily like come back from any pools of money money that will not be generated by the program seems
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like it is critical that will employed from day one and the nexus report that got us by pro tem a lot of jobs requires a large-scale building that is not envisioned here at all so i think this is important we prospectively look at how to push that forward i want to highlight i know we're all aware the scale of the crisis but several of the community choice programs are looufrn in very new and nimble organizations from the ground up as opposed to the long-standing agency with the pro actives and motivation and staff that does work on we have
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separate expenses but not separate tweeting accounts. >> separate twitter accounts the decision has been made to use the sf water twitter accountant and just wanted to highlight that for the commission in case that's not made it up to the level the advocates think this product should have its own twitter accountant part of marketing pn accountant part of marketing t 2015 thank you. >> jooefd i'll try toy fit into 2 minutes our staff did an excellent job first to page 27 of the packet recommendation of the phasing number 5 for the
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working capital it is a smart idea make sure for example, you get more than that 5 percent president the super green and run out of cap space and all of a sudden not built up collateral how to capitalized and allow new energy to the new crunch the customers that is where you'll get the money for the build out if we have the ability to bring in moral super green customers by the need to figure out how to allow borrowing in the beginning in order to bring the customers in and have a large consumers commissioner you brought of u up the stadium a great thought but what if it didn't workout with the pg&e but bring in power to cover that entity we need to make sure we're setting up the policy to make sure that you're
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not cutting off the ability to expand what a good opportunity comes but the opportunity to borrow in the short term in order to get that good customer for the long term please make sure you're doing that and the 35 percent goal for the light green okay. fine if that is what we need to be added if you get more super green you'll not have room to grow and pay attention to that cap you'll not have room from 33 to 35 percent for the regular customers and paying attention to that one the 10 percent rate adjustment in the example on page 16 i would say the likelihood of that is extremely unlikely they need to increase in their renewables from 33 to 35 the rates have not gotten o going down but you're
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looking at the risks they have to get to the 33 percent we'll start at the 33 percent but the retails e rates are lower but it will be - on the energy efficiency commissioner vice president moran you might remember i was arguing go to puc to get those fund available and i think you should be working with the department of environment and know your staff is working with them and making sure we are getting it when i was going up and talking about the expenditure products say we maybe charging but but work with you to lower your bill it goes down you know if you have a good energy efficient program but if you off them something people will line up if my bill goes do
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you think that's what i care about and having all the programs available to pg&e customers what is available to us having an equal amount of programs showing people we can offer more is key and critical and the power enterprise separation is guy know any money in the short term it hurts us a little bit but in the long term the money stays within the program it means a slower build out but keeping them separate is for the constant of insanity is a good way to approach it thanka good way to approach it than good way to approach it thank s to approach it thank insanity i to approach it thank you. >> any at comments
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commissioners and so we have an action item correct? >> action item. >> item number 18. >> sorry. >> i'm sorry so i jumped all over the social media thing i see a clean power tour account is that not what we want? >> oh, oh. >> big gun. >> come on up ted. >> director the communication so what you're referring to a separate twitter account for clean power we put of years ago but have the main sf water accounts and the strategy to leverage we're relying on this historically have been here as a
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water and sewer power and introducing the new service to leverage that in religious freedom we've cultivated over time and collaborating with all the - >> what. >> so you do not understand. >> so basically autopsy the clean power on social media through the agency account our sf water through twitter are our sf water facebook page we're not running a separate facebook page and twitter account is so through the one account and so you're looking at this i'm sensitive to it the way it works you'll reach for money based on how many people are coming in i what i see is seven hundred 8
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unique formals to the clean power twitter feed chances are to keep most of them as you move into the sf water. >> yes. >> that make sense in my mind but sometimes there is got to be another avenue we have an superstar extraordinary message to communicate to separate separate it from right. >> a lot different strategies with hash tags and differentiating a redirecting people to the main social account at sf water. >> i mean, i was what my cousins last weekend

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